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Account Accounting Concepts Account Types Accounts List Accounts Reports Balance Sheet BAS Report BAS Report List Cash Flow Forecast Cash Flow Statement Dashboard Journal Entry Journal Entry List Profit and Loss Retained Earnings Summary Sheet Transaction Journal Trial Balance

Overview

Definition

A Balance Sheet is a statement of the total assets and liabilities of an organisation at a particular date - usually the
last date of a financial or accounting period.

The balance sheet is split into two parts:

(1) A statement of fixed assets, current assets and the liabilities (sometimes referred to as "Net Assets")

(2) A statement showing how the Net Assets have been financed, for example through share capital and retained
profits.

Legislation requires the Balance Sheet to be included in the published financial accounts of all limited companies. In
reality, all other organisations that need to prepare accounting information for external users (e.g. charities, clubs,
partnerships) will also produce a Balance Sheet since it is an important statement of the financial affairs of the
organisation.

A Balance Sheet does not necessarily "value" a company, since assets and liabilities are shown at "historical cost"
and some intangible assets (e.g. brands, quality of management, market leadership) are not included.

How to use the Balance Sheet

•  Select the Accounts tab
•  Select the Balance Sheet button
•  The Balance Sheet Report will display

Set Date

Select the 'As Of' date you require (top right)

Set Departments

A Balance Sheet can be obtained for each or all departments or Cost Centres within your Company Database. The
Balance Sheet will open by default to display "All" Departments (Cost Centres).

Un-tick the "All" field to select a specific "Department" (Cost Centre) for your Balance Sheet Report, if required.

Drilling into the Balance Sheet

The Accounts that appear in the Balance Sheet that display an Account Balance (Accounts that are not Header
Accounts), can be drilled into, to reveal further detail. This will open the Balance Transaction List of the related
transactions pertaining to that Account.

Refresh

The Refresh button will refresh and update the page with the latest information available. This is important if other
users have entered transactions into your ERP database while you have your Balance Sheet open.